Investors back IPL Plastics’ move to the Toronto stock exchange
Shareholders in the Dublin-headquartered plastics company, IPL Plastics, have voted overwhelmingly in favour of corporate overhaul that facilitates a listing in the Toronto stock exchange in June.
At an emergency general meeting and annual general meeting in the Westbury Hotel, investors delivered near unanimous support for the move which will result in an initial public offering that will dilute existing their existing stakes in the group to less than 50pc.
IPl, previously known as One51, is expected to raise €125m from the IPO.
Today’s vote will enable the establishment of a new Canadian group holding company, IPL Plastics Incorporated (IPLP), and will restrict some 2,000 Irish investors in the group, which has production facilities in Ireland, the UK, North America and China, from trading stock in Canada for six months.
Instead local shareholders will be confined to trading in the existing grey market in Dublin.
While IPL offered Irish investors an opportunity to exit via a share buyback, it is understood there is little appetite for the move, indicating the bullish outlook on the register as the company enters a growth phase.
Pat Dalton, chief financial officer at IPL said at the meeting that earnings in the first quarter of the year were up on the previous period.